CME Group to Launch Bitcoin Friday Futures on Sept 30

The world’s leading derivatives marketplace, CME Group will launch Bitcoin Friday futures (BFF) on September 30.

From September 30, traders can buy Bitcoin Friday futures contracts worth 1/50th of a Bitcoin amounting to nearly $1186 (at the time of writing). The CME CF Bitcoin Reference Rate New York Variant (BRRNY) can be settled in cash at 4:00 p.m. New York time every Friday.

As per the official statement, a new BFF contract will be listed every Thursday at 6:00 p.m. New York time for a Friday trade date, and market participants can trade the nearest two Fridays at any given point.

The statement read, “A Friday expiry allows these contracts to closely track the spot price of bitcoin, as well as help investors mitigate weekend price moves”.

Giovanni Vicioso, CME Group Global Head of Cryptocurrency Products, claimed, “With these weekly expiring smaller-sized contracts, investors of all sizes – from institutions to sophisticated, active retail traders – will be able to more accurately fine-tune their bitcoin exposure on a regulated exchange.”
The shorter duration and smaller-sized contract, BFF could prove to be flexible and cost-effective for traders to manage their bitcoin exposure.

As per the official statement, “Bitcoin Friday futures will join CME Group’s deeply liquid suite of benchmark Bitcoin futures contracts. Year-to-date trading highlights include:
1. Bitcoin futures record average daily volume (ADV) of 14,554 contracts
2. Bitcoin futures record open interest (OI) of 27,900 contracts
3. Micro Bitcoin futures record ADV of 37,000 contracts
4. Micro Bitcoin futures record OI of 28,000 contracts”
Apart from its recent Bitcoin Futures development, CME’s micro Ether futures contracts have seen four consecutive months of highs in daily volume.

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